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11-28-83 Parks Comm MinutesNovember 28, 1983 The Parks Committee met on this date at 4:00 P.M. in the Conference Room at City Hall. In ttendance were Chairman Vidal, Councilmen Palmer, Saverud, Nystul and Grainger; Parks Supt. Trent, Councilman Elect Schindler, Building Official Petersen and City Attorney Neier. Continuation of Airport Lease Review A memo from Water Supt. Hughes to the Committee was discussed. Although preliminary, the proposed hangar site would be directly over an 8" sewer force main and a 6" water main. He cautioned that all structures be at least 10 feet from any buried city utility. Drent confirmed that Airport Lease Agreement prevents any structure being built near water or sewer lines. Palmer suggested that everything related to the lease come from the Airport Board, with a schematic plan of their intentions, and would also like to see comparable prices from other airports. He does not consider the proposed 5(� per square foot as reasonable for leasable value. C. Vidal stated that concerns were raised at the last meeting regarding inconsistencies with the original agreement. Neier informed the group that the term of the lease was longer than allowed in the Master Agreement, with an estimated 4 year excess in the new plan. No escalations were allowed for ground rent were indicated in the lease, the present amount would provide for about $132 per year on this lease. Neier stated also that if the airport were ever closed to general aviation, the lease would -ive the Association irrevolkable option to purchase the site, at 20 times the annual ground rent. This would total around $2,500. He stated that he did not feel the City Council could give anyone irrevolkable option to purchase real property particularly. C. Palmer had another commitment but upon leaving the meeting stated that his recommenda- tion was that the lease be returned to the Airport Board, with a list of our concerns, ask- ing the Board to address problems, find solutions, and then as Board, present to the City a master plan of their intentions. All present agreed with his recommendation. Issues discussed were reasonable revenues, parking, and tenants rights regarding removing improvements from the property. Saverud stated that the only way we will consider lease is that it be consistent with the Master Agreement, and should propose that value of the lease is not economically sound. Neier advised that he did not think it a good idea to sign leases as they are sent, things such as the effect of sewer lines, for instance, could only be discovered by city officials. Because our interests are totally different, he does not advise entering a blanket lease. Vidal stated that she would advise the Mayor on Tuesday that the committee was unwilling to accept the lease as is, that a redesigned plan should be submitted from the Airport Board. Architect Bill Simons called at this point to inquire about the committee's decision and was told the status of the lease. C. Vidal reported from this conversation that the Board was not aware of the water line problem, would be willing to write in the increase of value and were willing to redesign the lease and get together with the committee. A copy of the ewer and water map will be duplicated for them. Parks Committee Page 2 November 28, 1983 Bruckhauser Pool Supt. Drent reported that he had been in contact with the BOR office. All applications will be evaluated within the next 14 days. Our request has high rating, if allowed, the amount will probably be between $50,000-75,000 at most. We will have to have matching funds or it will be necessary to withdraw the application. Drent stated that Gretchen, of the BOR Office, will call to advise him of the decision on our application. Meeting adjourned at 4:50 P. M. ms